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What Is International Law?

International law governs relations between different nations, and business is one of the most important relations betweennations. International law consists of a blend of different treaties,organizations, and agreements among countries. International law is createdfrom a combination of:

  • Treaties and International Agreements: These are basically contracts between two or more nations. If the highest power of each nation agrees to it, then the treaty becomes binding. For example, international treaties created a trade agreement between the United States and many other nations (known as NAFTA).
  • International Organizations and Conferences: International organizations and conferences establish uniform international laws by adopting resolutions and other standards for all participating nations. The World Trade Organization (WTO) is an example of an international organization which holds conferences to decide important issues.
  • International Customs: These usually consist of universal customs that many nations follow. For example, murder is universally considered a crime. There are universal customs in the business realm as well.

How Does International Laws Regulate Business?

International laws regulate international business transactions.International law provides rules and remedies that nations agree to follow.Here are a few types of regulations:

  • Tariffs / taxes on imports
  • Quotas that limit amount of imports
  • Requiring business deals to be done in good faith
  • Compensation for foreign investors if a country¿s government confiscates their property

Are There Other Laws that Govern International Business?

International laws are not the only laws governing international business.If a business operates in a certain country, that country¿s laws also must befollowed. For example, an American company buys a factory in England.International law as well as England¿s laws would govern the sale and operationof the company.

How Can an American Lawyer Help Me in an International Business Dispute?

When a legal dispute arises between parties from different countries, thereare can be many difficult issues. If you have an international businessdispute, there are experienced attorneys who specialize in international law.Contact such an attorney to learn more about your rights, defenses, and thecomplicated issues that may arise.

Photo of page author Ken LaMance

, LegalMatch Law Library Managing Editor and Attorney at Law

Last Modified: 10-24-2011 04:08 PM PDT

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